What 2015 tax records can you toss once you’ve filed your return? The short answer is: none. You need to hold on to all of your 2015 tax records for now. But this is a great time to take a look at your records for previous tax years and determine what you can purge. The 3-year rule At minimum, keep tax records for as long as the IRS has the … Read more
Filing for an extension isn’t without perils Yes, the federal income tax filing deadline is slightly later than usual this year — April 18 — but it’s now nearly upon us. So, if you haven’t filed your return yet, you may be thinking about an extension. Extension deadlines Filing for an extension allows you to delay filing your return until the applicable extension deadline: Individuals — October 17, 2016 Trusts and … Read more
Tips for deducting losses from a disaster, fire or theft If you suffer damage to your home or personal property, you may be able to deduct these “casualty” losses on your federal income tax return. A casualty is a sudden, unexpected or unusual event, such as a natural disaster (hurricane, tornado, flood, earthquake, etc.), fire, accident, theft or vandalism. A casualty loss doesn’t include losses from normal wear and tear … Read more
Three Income-tax-smart gifting strategies you don’t want to miss If your 2015 tax liability is higher than you’d hoped and you’re ready to transfer some assets to your loved ones, now may be the time to get started. Giving away assets will, of course, help reduce the size of your taxable estate. But with income-tax-smart gifting strategies, it also can reduce your income tax liability — and perhaps your family’s … Read more
Make a 2015 contribution to an IRA before time runs out Tax-advantaged retirement plans allows your money to grow tax-deferred — or, in the case of Roth accounts, tax-free. But annual contributions are limited by tax law, and any unused limit can’t be carried forward to make larger contributions in future years. So it’s a good idea to use up as much of your annual limits as possible. Have you … Read more
Deduct home office expenses- if you’re eligible Today it’s becoming more common to work from home. But just because you have a home office space doesn’t mean you can deduct expenses associated with it. Eligibility requirements If you’re an employee, your use of your home office must be for your employer’s convenience, not just your own. If you’re self-employed, generally your home office must be your principal place of business, … Read more
Important Notice: Franchise Tax Board Letter Dear Clients, . In 2016, Capata was required to re-register on the Franchise Tax Board‘s website to be able to assist our clients in the preparation of their California income tax returns. Please understand we routinely visit the Tax Board website to confirm all information before finalizing any tax returns. Should a problem arise with your income tax returns, our professionals need to access … Read more
Exclusion Gifts: Your Opportunity is here, don’t wait! Exclusion gifts: Recently, the IRS released the 2016 annually adjusted amount for the unified exclusion gift and estate tax exemption and the generation-skipping transfer (GST) tax exemption: $5.45 million (up from $5.43 million in 2015). But even with the rising exemptions, annual exclusion gifts offer a valuable tax-saving opportunity. . The 2015 gift tax annual exclusion allows you to … Read more
PTO contribution arrangements can help prevent the year-end vacation-time scramble From the Thanksgiving kick-off of the holiday season through December 31, many businesses find themselves short-staffed as employees take time off to spend with family and friends. But if you limit how many vacation days employees can roll over to the new year, you might find your workplace to be nearly a ghost town as employees scramble to use their … Read more
